|
|
13 January 2025 - Shenhua's coal-based PP and PE Auction ResultsShenhua concluded the first trading session of the week on a mixed note, as contrasting factors shaped market sentiment across segments. A strong performance in futures contracts on the Dalian Commodity Exchange lent support to the homo-PP market. |
|
Shenhua Baotou Coal Chemical Co has concluded the auction session for its coal-based PP and PE cargoes 13 January 2025. The following table showed the details of the auction results for prime grade only:
|
Product |
Auction Volume |
Deal Volume |
Auction Prices |
Deal Prices |
Deal % |
||
|
CNY/ton |
USD/ton |
CNY/ton |
USD/ton |
||||
|
Combined and reported by CommoPlast |
|||||||
|
Homo-PP |
1630 |
1630 |
7100 |
$857 |
7190-7510 |
$868-907 |
100.0% |
|
PPBC |
400 |
164 |
7400 |
$893 |
7400 |
$893 |
41.0% |
|
LLDPE |
1100 |
710 |
8350 |
$1008 |
8350-8730 |
$1008-1054 |
64.5% |
|
*Auction and Deal volumes are in tonnage *All USD equivalent prices only exclude the 13% value-added tax (VAT). They have not taken into account other costs that might incur in the selling process, i.e. import duty, customs clearances. |
|||||||
Shenhua concluded the first trading session of the week on a mixed note, as contrasting factors shaped market sentiment across segments. A strong performance in futures contracts on the Dalian Commodity Exchange lent support to the homo-PP market. Conversely, auction results for coal-based LLDPE film faced downward pressure due to rising PE availability following a wave of new local production startups.
Buyers remained largely cautious, reflecting broader concerns over volatile macroeconomic conditions. With uncertainties looming over supply-demand dynamics in the post-Lunar New Year period, market participants adopted a conservative approach to purchasing, prioritising risk mitigation amid an evolving landscape.
Background:
Shenhua Baotou Coal Chemical Co, the largest coal-based polyolefins producer in China, operates through four subsidiaries: Shenhua Xinjiang Coal-based New Materials Project, Shenhua Yulin Energy Co. Ltd., Shenhua Baotou Coal Chemical Co. Ltd., and Shenhua Ningxia Coal Industry Group (Ningmei).
The company boasts an annual production capacity of 2.65 million tons of PP, 750,000 tons of HDPE/LLDPE, and 570,000 tons of LDPE.
Active in spot trading, Shenhua Baotou also conducts daily auctions for its cargoes from 10 AM - 12 PM on its dedicated online platform, available at https://www.e-chnenergy.com.
------------------------
Written by: Kat Yun Yun
Edited by: Muhammad Hafiz
Country
China
